Revenge of Huawei .. What can China do with iPhone phones?[/rtl]
[rtl]Editorial date:: 2019/5/30 9:35 • 79 times scheduled[/rtl]
(Bloomberg) - Bloomberg analysts said that Apple's earnings could fall sharply if China banned the purchase of iPhones.
The source said that Apple's profits face the risk of a decline of about 26 percent in the next fiscal year 2020, if China decided to ban the purchase of phones, "iPhone" in response to the US restrictions imposed on the company, "Huawei."
"Apple is one of the US companies that are vulnerable to retaliation against China, after the US Commerce Department and Huawei and its 70 subsidiaries set up a so-called" list of entities, "a move that prevents China Telecom from acquiring components and technology from companies. American without the prior consent of the government. "
The prevention of the sale of iPhones in China will be the "extreme case" scenario of how the two countries' trade war will break out, said Krish Sankar, an analyst at Quinn.
He added "
"Even without a formal government ban, Chinese consumers may take revenge for their country, because patriotism may prompt them to support local brands if they feel that Huawei is unfairly punished," he said.
Shares in Apple fell slightly in trading Wednesday, after losing about four percent in the past five days.
The two economic powers are at odds after an apparent stalemate in their negotiations, prompting China to charge the United States with "open economic terrorism" against it.